v3.25.1
Fair Value Measurements
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date in the principal or most advantageous market for that asset or liability. Guidance on fair value measurements and disclosures establishes a valuation hierarchy for disclosure of inputs used in measuring fair value defined as follows:
Level 1—Inputs are unadjusted quoted prices that are available in active markets for identical assets or liabilities.
Level 2—Inputs include quoted prices for similar assets and liabilities in active markets and quoted prices in non-active markets, inputs other than quoted prices that are observable, and inputs that are not directly observable, but are corroborated by observable market data.
Level 3—Inputs that are unobservable and are supported by little or no market activity and reflect the use of significant management judgment.
The classification of a financial asset or liability within the hierarchy is determined based on the least reliable level of input that is significant to the fair value measurement. In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. We also consider the counterparty and our own non-performance risk in our assessment of fair value.
Assets and Liabilities that are Measured at Fair Value on a Recurring Basis
Interest Rate Swaps—The fair value of our interest rate swaps is estimated using a combined income and market-based valuation methodology based upon Level 2 inputs, including credit ratings and forward interest rate yield curves obtained from independent pricing services.
Money market funds—Our valuation technique used to measure the fair values of our money market funds was derived from quoted market prices and active markets for these instruments that exist.
Time deposits—Our valuation technique used to measure the fair values of our time deposit instruments was derived from the following: non-binding market consensus prices that were corroborated by observable market data and quoted market prices for similar instruments.
Investment in securities—In May 2022, we acquired 8 million shares of Class A Common Stock, par value of $0.0001 per share, of Global Business Travel Group, Inc. (“GBT”) for an aggregate purchase price of $80 million, which was included in prepaid expenses and other current assets in our consolidated balance sheets. The terms of these shares did not contain any restrictions that would impact our ability to sell the shares in the future. The fair value of our investment in GBT was based on its share price, a Level 1 input, as the stock is publicly traded on the New York Stock Exchange under the symbol GBTG. In the third quarter of 2024, we sold all 8 million shares of our investment for $55 million and recognized a net gain of $3 million for the year ended December 31, 2024. Unrealized losses recognized during the three months ended March 31, 2024 from our investments in securities totaled $3 million, which is recorded to Other, net within our results of operations.
The following tables present our assets (liabilities) that are required to be measured at fair value on a recurring basis as of March 31, 2025 and December 31, 2024 (in thousands):
 Fair Value at Reporting Date Using
Assets:March 31, 2025Level 1Level 2Level 3
Money market funds341,355 341,355 — — 
Time deposits81,965 — 81,965 — 
Investment in securities401 401 — — 
Total assets$423,721 $341,756 $81,965 $— 
Liabilities:
Derivatives(1)
Interest rate swap contracts$(2,734)$— $(2,734)$— 
Total liabilities$(2,734)$— $(2,734)$— 

 Fair Value at Reporting Date Using
Assets:December 31, 2024Level 1Level 2Level 3
Money market funds$425,407 $425,407 $— $— 
Time deposits78,595 — 78,595 — 
Investment in securities555 555 — — 
Total assets$504,557 $425,962 $78,595 $— 
Liabilities:
Derivatives(1)
Interest rate swap contracts$(2,266)$— $(2,266)$— 
Total liabilities$(2,266)$— $(2,266)$— 
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(1) See Note 7. Derivatives for further detail.

There were no transfers between Levels 1 and 2 within the fair value hierarchy for the three months ended March 31, 2025.
Other Financial Instruments
The carrying value of our financial instruments including cash and cash equivalents, restricted cash and accounts receivable approximates their fair values due to the short term nature of these instruments. The fair values of our 2025 Exchangeable Notes and 2026 Exchangeable Notes, senior secured notes due 2025, 2027 and 2029 and term loans under our Amended and Restated Credit Agreement are determined based on quoted market prices for a similar liability when traded as an asset in an active market, a Level 2 input. The fair value of the Senior Secured Term Loan Due 2028 and FILO Facility were determined using a valuation model that includes certain assumptions and Level 3 inputs. The outstanding principal balances of our AR Facility and FILO Facility approximated their fair value as of March 31, 2025.
The following table presents the fair value and carrying value of our senior notes and borrowings under our senior secured credit facilities as of March 31, 2025 and December 31, 2024 (in thousands):
 
As of March 31, 2025
As of December 31, 2024
Financial InstrumentFair Value
Carrying Value(1)
Fair Value
Carrying Value(1)
2021 Term Loan B-1$306,200 $313,473 $303,643 $314,453 
2021 Term Loan B-2353,918 364,725 356,665 364,600 
2022 Term Loan B-1366,144 379,787 372,593 379,617 
2022 Term Loan B-2400,234 401,603 407,228 400,748 
2024 Term Loan B-1689,085 688,326 712,250 689,655 
2024 Term Loan B-273,831 74,718 76,313 74,902 
Senior Secured Term Loan Due 2028899,893 882,957 906,020 853,788 
9.25% senior secured notes due 2025
10,433 10,416 10,510 10,416 
7.375% senior secured notes due 2025
23,500 23,393 23,081 23,393 
4.00% senior exchangeable notes due 2025
182,907 183,220 181,322 183,220 
7.32% senior exchangeable notes due 2026
159,739 150,000 172,500 150,000 
8.625% senior secured notes due 2027
650,212 656,783 649,105 656,783 
11.25% senior secured notes due 2027
48,753 45,293 49,400 45,253 
10.75% senior secured notes due 2029
832,334 776,243 853,220 774,332 
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(1)Excludes net unamortized debt issuance costs.
Assets that are Measured at Fair Value on a Nonrecurring Basis
We assess goodwill and other intangible assets with indefinite lives for impairment annually or more frequently if indicators arise. We continually monitor events and changes in circumstances such as changes in market conditions, near and long-term demand and other relevant factors, that could indicate that the fair value of any one of our reporting units may more likely than not have fallen below its respective carrying amount. We have not identified any triggering events or changes in circumstances since the performance of our annual goodwill impairment test that would require us to perform another goodwill impairment test. We did not record any goodwill impairment charges for the three months ended March 31, 2025.